Whether you are self-insured or transfer part or most of the risk to an insurance company the following information will assist you in exploring the viable options.

As an independent insurance agent I’ve worked with Disability and Long-Term care plans since 1976.  As such I have had the benefit of researching and assessing many products to meet my client’s individual and unique needs.  If I worked for one company it would certainly have simplified my job, but it would also have limited the choices available to my clients as they made critical decisions for their futures. 

There are two basic categories or types of plans for most to consider when shopping for long-term care coverage; Reimbursement and Cash plans.  Depending on age and medical conditions costs will vary between these plans.  As always the best plan is one that is in force when needed! 

Reimbursement plans will conserve benefit dollars because they only reimburse based on qualified services.  The challenge with reimbursement plans is in lining up the claim within the standards of the actual contract.  With these plans it is very important to know and understand what services qualify for reimbursement (e.g., agency caregivers, non-agency caregivers, and/or family caregivers).  To plan for what you want it is important to know how the plan delivers the care and what is not covered, as well as what the monthly claim limitations and requirements are.

Cash plans dramatically reduce much of the confusion concerning reimbursement when the time comes.  A Cash plan simply provides your full benefit check regardless of individual caregivers charges.  You can pay for services or any other expenses or save the money.  You spend the check as you see fit. 

Both Cash and Reimbursement plans are available on an individual and group basis.  Often Group plans allow the inclusion of the employee’s family members during the initial plan implementation period.

Continued . . .

Exploring Long-Term Care